A new set of tariffs from the U.S. President Donald Trump is creating difficulties for African countries that export goods to the U.S. under a special trade agreement called AGOA, according to Bloomberg.
AGOA allowed many African countries to send products to the U.S. without paying taxes.
However, Trump’s new tariffs are removing that benefit.
He is now charging a 10% tariff on many imports, and each African country faces additional charges based on specific agreements.
Lesotho, a small country that exports a lot of clothing to the U.S., has been given the highest tariff of 50%.
This poses a significant challenge for Lesotho, where the clothing industry employs many people and is an important part of the economy.
“We were shocked. We don’t even know what informed the decision,” said Lesotho’s Trade Minister Mokhethi Shelile.
“We are trying to engage to understand what went wrong. We have assembled a high-level delegation that we are going to send to Washington.”
South Africa, the largest and most industrialized country in Africa, faces a 20% tariff on its goods.
This will negatively impact industries like automotive and agriculture, which are key exports to the U.S.
The South African government called the new tariffs “punitive” and said they “effectively nullify” the benefits of AGOA, making it harder for the country to trade with the U.S.
Nigeria, Africa’s largest economy, is now facing a 14% tariff on its exports. Botswana has been given a 37% tariff, and Angola is affected by a 32% tariff.
These high tariffs represent a major shift from the trade benefits AGOA used to provide.
AGOA is set to expire in September 2025, and these new tariffs raise serious doubts about the future of the program.
Many African leaders had hoped AGOA would be renewed, but the new tariffs are undermining those expectations.
Lesotho is sending a high-level delegation to Washington, D.C., to seek clarification about the decision.
Other affected countries are also evaluating their options as the situation continues to unfold.
